The British pound today plunged to new lows after the Bank of England left its rates unchanged, while cutting the UK’s growth forecasts for this year. The pound hit new lows against the US dollar after the speech by the BOE Governor, Mark Carney, which painted a dovish economic outlook in relation to Brexit. The GBP/USD currency pair hit a yearly high of 1.3269 before the sharp drop witnessed after Mark Carney’s speech, … “British Pound Plunges Against US Dollar on BoE Rate Decision”
Month: August 2017
Czech Koruna Advances After First Interest Rate Hike in Almost a Decade
The Czech koruna advanced against the US dollar today after the central bank decided to hike its key two-week repo rate. The Czech National Bank raised its main interest rate by 20 basis points to 0.25% and the Lombard rate by 25 basis points to 0.50%, while keeping the discount rate unchanged at 0.05%. Such decision was expected by some analysts. It the first change in borrowing costs since November 2012 … “Czech Koruna Advances After First Interest Rate Hike in Almost a Decade”
Australian Dollar Falls Along with Trade Surplus
The Australian dollar dropped today as the trade balance turned out to be worse than economists expected. The improving services industry did not help the currency. Australia’s trade surplus shrank from A$2.02 billion in May to A$0.86 billion in June on a seasonally adjusted basis. The actual value was far below A$1.78 billion predicted by analysts. Meanwhile, the Australian Industry Group Australian Performance of Services Index climbed from 54.8 in June … “Australian Dollar Falls Along with Trade Surplus”
US Dollar Falls Against Euro as ADP Employment Data Misses Estimates
The US dollar fell against the euro on Wednesday, as uncertainty between traders about the labor market increased following disappointing employment data today. The greenback also declined against a basket of major currencies amid lower expectations for the official job report on Friday. The ADP Research Institute, which releases a monthly estimate for job gains ahead of government data, said in a report published earlier today that the US private sector hired 178,000 … “US Dollar Falls Against Euro as ADP Employment Data Misses Estimates”
Euro Gains Against US Dollar on Positive EU PPI and Weak US ADP Reports
The euro today rallied higher against the US dollar after the release of positive EU producer price index data by Eurostat. The EUR/USD pair rallied higher after the release of the US ADP employment report, which was below expectations. The EUR/USD currency pair rose by about 70 points at the height of its rally as the euro gained against the US dollar. The currency pair hit a yearly high of 1.1868, then retraced some of its … “Euro Gains Against US Dollar on Positive EU PPI and Weak US ADP Reports”
Sterling Rallies Ahead of BoE, Ignores Falling Construction Index
The Great Britain pound rallied today against most of its major rivals even as the construction sector was expanding at the slowest pace in nearly a year. The IHS Markit/CIPS UK Construction Purchasing Managersâ Index dropped from 54.8 in June to 51.9 in July — the lowest level since August 2016 and far below analysts’ predictions. The data followed yesterday’s report that showed an increase of the IHS Markit/CIPS UK Manufacturing PMI from 54.2 … “Sterling Rallies Ahead of BoE, Ignores Falling Construction Index”
NZ Dollar Driven Down by Employment Data
The New Zealand dollar fell today, dragged down by underwhelming employment data. The currency was in a retreat for four consecutive sessions versus the euro and for five against the Japanese yen. New Zealand employment dropped 0.2% in the June quarter of this year from the previous three months, whereas analysts had expected a substantial increase by 0.7%. At the same time, the unemployment rate decreased from 4.9% to 4.8%, in line with expectations. The Labor Cost … “NZ Dollar Driven Down by Employment Data”
Will the BOE send GBP higher?
The Bank of England convenes amid a rising pound and some better prospects for the economy. Will they provide a hawkish slip? Here are two opinions: Here is their view, courtesy of eFXnews: GBP: A ‘Hawkish Skip’ Likely On Thursday; EUR/GBP Risk-Reward – Nordea Nordea FX Strategy Research notes that Super Thursday is coming up … “Will the BOE send GBP higher?”
Euro Slips Against Major Peers as Lackluster Business Activity Outweighs Robust Economic Growth
The euro slipped against the British pound and the US dollar on Tuesday, as a number of disappointing readings for business activity within the euro zone lead the shared currency lower. The euroâs losses were partly offset in the wake of a report that showed robust economic growth in the European Union during the previous quarter. IHS Markit, a research firm that releases readings for business conditions based on monthly surveys, said in two separate reports today that … “Euro Slips Against Major Peers as Lackluster Business Activity Outweighs Robust Economic Growth”
US Dollar Remains Weak Despite the Release of Mixed US Data
The US dollar today remained weak against its main peers such as the British pound and the euro during the European session. The release of the positive core personal consumption expenditure and the US ISM employment data boosted the greenback slightly during the North American session. The US Dollar Index, which tracks the greenback’s performance against its main peers, was trading above its opening price of 92.89 at the time of writing. This indicates … “US Dollar Remains Weak Despite the Release of Mixed US Data”